Australian home auction clearance rates fall to post-pandemic low

Summarised from 2 outlets · Updated 1 Nov, 01:20 · Archive

Home auction success rates in Australia have fallen to 47.2 per cent, the lowest level since April 2020, as buyers hold back ahead of an expected interest rate rise.

Home auction clearance rates in Australia have fallen to 47.2 per cent, the lowest level since April 2020, according to property research firm Cotality. Only 1,735 homes went under the hammer in the past week, down 7.3 per cent on the week before. Auction clearance rates below 60 per cent are considered a key indicator of a falling property market.

Performance varied across major cities. Sydney's clearance rate rose to 53.8 per cent, leading the capitals, whilst Brisbane recorded only 26.2 per cent, the weakest result in the nation. Despite falling prices, buyers remained reluctant to act.

Ray White's Thomas McGlynn attributed the shift in buyer behaviour to uncertainty ahead of the Reserve Bank's interest rate decision on Tuesday. 'Buyers are already navigating greater choice and considerable uncertainty,' he said. A further rate rise would bring the cash rate to 4.85 per cent, the highest level since 2008.

How it is being reported

• Cagey buyers push home sales rates to post-pandemic lowThe share of homes selling under the hammer has plummeted to a post-pandemic low as would-be buyers brace for another interest rate rise.The West Australian · 1 Nov, 00:49
• Cagey buyers push home sales rates to post-pandemic lowThe share of homes selling under the hammer has plummeted to a post-pandemic low as would-be buyers brace for another interest rate rise.Perth Now · 1 Nov, 00:49

In this story: Australia · Sydney · Brisbane · Cotality · Ray White · Reserve Bank · Thomas McGlynn

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